Ermenegildo Zegna 2018 Profits Up, Group Invests in Key Markets

MILAN — Reporting an uptick in net profits last year, the Ermenegildo Zegna Group is setting the foundations for further growth as it strengthens its omnichannel approach and continues to build its main market, China, while investing in other key regions, including the U.S. and South East Asia. In the 12 months ended Dec. 31, net profits rose 3.6 percent to 34 million euros, compared with 32.8 million euros in 2017. Earnings before interest, taxes, depreciation and amortization edged up 0.7 percent to 143 million euros, a margin of 12.3 percent on sales. Revenues declined 2 percent to 1.16 billion euros, compared with 1.18 billion euros. At constant exchange rates, sales inched up 0.4 percent. Gildo Zegna, chief executive officer of the Ermenegildo Zegna Group, told WWD that he had a positive view of the performance last year, which was affected by a general slowdown in the international economy, currency fluctuations and weak demand in Europe and the U.S. The two regions were dented by slow tourist traffic, especially from China, as the Chinese now prefer to shop in Asia. The men’s wear group can leverage the “advantage of being already well-known there,” said Zegna, who was in New York to celebrate the official opening

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from WWDWWD http://bit.ly/2GDwhti